Eur/Chf

cgstewart92 · Dec 21, 2011

Is anyone interested in trading bank banter regarding the peg and or other SNB actions?

oldtime · Dec 21, 2011

Quote from cgstewart92:

Is anyone interested in trading bank banter regarding the peg and or other SNB actions?

I trade EUR/CHF, but I've never traded bank banter. What is it and how do you trade it?

cgstewart92 · Dec 21, 2011

I guess it is moderately fundamental strategy... just watch for rumors, buy and sell them

oldtime · Dec 21, 2011

EUR/CHF has been a lot more fun ever since SNB announced they were going to peg. Everytime I make money I feel like I am getting away with something.

athlonmank8 · Dec 21, 2011

I was just thinking about this last night. Crazy pair indeed. I doubt they're going to enforce it though if it gets tested. It could be potential suicide.

cgstewart92 · Dec 22, 2011

Quote from athlonmank8:

I was just thinking about this last night. Crazy pair indeed. I doubt they're going to enforce it though if it gets tested. It could be potential suicide.

But if they fail to enforce it, all their credibility goes up in a cloud of smoke.

oldtime · Dec 22, 2011

Quote from cgstewart92:

But if they fail to enforce it, all their credibility goes up in a cloud of smoke.

every central bank always fails when they try to devalue. At least USA can print their way down. SNB's only strategy is to buy everything out there. When everthing you buy goes down how does that work out? If they keep that up they'll be broke just like Europe and maybe then they'll finally be pegged.

athlonmank8 · Dec 22, 2011

Quote from oldtime:

every central bank always fails when they try to devalue. At least USA can print their way down. SNB's only strategy is to buy everything out there. When everthing you buy goes down how does that work out? If they keep that up they'll be broke just like Europe and maybe then they'll finally be pegged.

It's worked extremely well so far actually

cgstewart92 · Dec 22, 2011

Quote from athlonmank8:

It's worked extremely well so far actually

enough to merit raising the peg?

Martinghoul · Dec 22, 2011

Quote from oldtime:
every central bank always fails when they try to devalue. At least USA can print their way down. SNB's only strategy is to buy everything out there. When everthing you buy goes down how does that work out? If they keep that up they'll be broke just like Europe and maybe then they'll finally be pegged.

Huh? The Chinese have been devaluing successfully for how long now? There is no inherent short-term limit to how much a CB can devalue, if it's truly willing...